Small businesses across Rugby and Bulkington can benefit from a new fast-track finance scheme providing loans with a 100% government-backed guarantee for lenders which goes live today.
The Chancellor of the Exchequer, the Rt Hon Rishi Sunak MP, said the new Bounce Back Loans scheme, which will provide loans of up to £50,000, would help bolster the existing package of support available to the small businesses affected by the coronavirus outbreak.
The scheme has been designed to ensure that small firms who need vital cash injections to keep operating can get finance in a matter of days. It is in addition to the £6 billion awarded in business grants, support for 4 million jobs through the job retention scheme and generous tax deferrals supporting hundreds of thousands of firms.
The government, which has been consulting extensively with business representatives about the design of the new scheme, will provide lenders with a 100% guarantee for the loan and pay any fees and interest for the first 12 months. No repayments will be due during the first 12 months. The loans will be easy to apply for through a short, standardised online application. The loan should reach businesses within days providing immediate support to those that need it as easily as possible.
To apply for a Bounce Back Loan, businesses need to go to: https://www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-schemes/bounce-back-loans/
“As someone who ran their own business prior to entering Parliament, I know just how challenging these times will be for small businesses. Whilst many have been helped through the Coronavirus Business Interruption Loans, the ability to furlough workers and grant schemes, these have not been appropriate for some of the smallest businesses. That is why I am very pleased that the Chancellor has listened to the concerns of the business community and brought forward this new rapid loan scheme to ensure they get the finance they need swiftly.”
“Small businesses are the lifeblood of our economy and will be vital to helping us recover once this virus has passed. I would urge any business in Rugby and Bulkington struggling at this time to consider applying for one of these loans to help them survive the coronavirus outbreak.”